Business
Issue of Equity
Issue of Equity.
About this update from Christie Group Plc
[{"type":"text","content":"\n \nRNS Number : 5423H Christie Group PLC 21 June 2013 \n\n \n \n \n21 June 2013\n \n \nChristie Group plc\n('Christie' or the 'Group')\n \nPlacing of 1.26m Ordinary Shares \n \nThe Board of Christie Group plc, the leading provider of Professional Business Services and Stock & Inventory Systems & Services to the leisure, retail and care markets, is pleased to announce that it has placed 1,263,178 new Ordinary Shares (the \"Placing Shares\") at 62 pence per share, with certain institutional and other investors (the \"Placing\") to raise approximately £783,170(gross).\n \nBackground to and reasons for the Placing\n \nThe Placing has been undertaken to raise funds to, in part, expedite the Group's European expansion of its stocktaking operations and to fund the acquisition of a 75 per cent. controlling interest in the German franchisee.\n \nAt the beginning of 2013, the Group embarked on its first franchise stocktaking operation with Inventory Services GmbH which now trades as Orridge Inventory Services. The Group has an option to acquire a controlling stake in the German's franchisee's business and, subject to completion of satisfactory due diligence, it is the intention to exercise this option and complete the acquisition later this summer. Subsequent to the completion of the acquisition, the Group will provide certain working capital to the franchisee and an investment in the proven technology we use elsewhere to enable the franchisee business to produce equivalent margins to the rest of the Group.\n \nIn addition, the Group is also utilising certain of the placing proceeds to develop new 'next generation' software for its operations. \n \nInformation on the Placing\n \nThe placing price of 62 pence per new Ordinary Share represents a discount of 6.1 per cent. to the Company's closing midmarket price on 20 June 2013 of 66 pence being the last practicable date prior to the announcement of the Placing.\n \nApplication has been made for the 1,263,178 Placing Shares to be admitted to trading on AIM and it is expected that admission will take place on 26 June 2013. The Placing Shares will rank pari passu with the existing Ordinary Shares of the Company. Following this allotment, the total issued share capital of the Company will inc...